Impaired loans mounting
Non-performing housing loans rose by $42 million or 2.5% – a year-on-year increase of $696m to a total $1.72bn.
During February, impaired loans dropped to $244m from $259m in January, while loans past 90 days due, but not impaired, rose to $1.47bn from $1.41bn in January and $908m a year ago.
While the figures might seem high they are well below those of the global financial crisis when the ratio of non-performing housing loans hit a high of 1.2% between 2009-2011. It is now sitting at 0.5%.
Non-performing loans in the commercial property sector have risen quickly – by more than $90m to a total of $505m. About $294m of that occurred in the past six months. The ratio of non-performing loans is now sitting at 1.17%.
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